Advertised rental prices in London falling

According to various studies in the last few months, there are now more and more landlords looking to get themselves a piece of the booming private rented sector than ever by purchasing themselves buy-to-let properties.

However, when this is the case, one of the most important issues that they must address comes in the form of location. Where is the best place to purchase a house to let out? If you are planning on becoming a landlord insurance customer and you cannot answer that, then it is something to consider.

It's also important to be as dynamic as possible with regards to this issue, always making sure you reevaluate and change your target areas as the market goes through various changes.

For example, in the last few years, high demand in London has meant that homes in the capital have experienced repeated increases in what landlords can charge their tenants, making investments there a worthwhile venture.

However, according to a new study that has been carried out by Move With Us, rents in the capital are actually falling at the moment, with the latest drop in the three months to the end of June meaning that there has been a ten per cent year on year fall.

The last quarter saw falls of just 0.84 per cent in advertised rents, and while this is a slower rate of decrease than in the the three quarters that came before, it is still a fall in a market that had been the strongest in the UK for the last few years.

While London properties are seeing dropping values at the moment though, the south-east is proving to be the best place for landlords to see high prices, so this might be an area that newcomers to the market want to look at when they come to buy.

"It's interesting to see that rents in London have fallen in a year on year comparison. We can see from our data that is more than just a hangover from the Olympics as the downwards trend has continued long after demand and average asking rents were artificially raised by London 2012," said Robin King, Move with Us director.